Mircocell, which previously owned Fido, was the fourth largest wireless provider prior to Fido's acquisition in November 2004. Fido had 1,293,800 customers (Blundon, Stephen, 2004) and generated revenues of $538 million (Microcell Annually and Quarterly report, 2004). Rogers Communication Inc. (RCI) is a diversified Canadian communications consisting of Rogers Wireless, Rogers Cable and Rogers Media, each of which is wholly-owned subsidiaries of RCI. In 2004, Rogers Wireless had 3.8 million subscribers and generated revenues of 2,784 million by the year end of 2004. After the Acquisition
After acquisition of Fido, Rogers Wireless Inc. became Canada's largest wireless voice and data provider and the choice of nearly 5.7 million of subscribers as of November 2004 (2004 Annual Report, p16).
Benefits of the Acquisition Fido by Rogers Wireless:
From the point of view of the customers, the only benefit of the acquisition of Fido is that Fido customers have a bigger phone network which operates across Canada. For those areas that Fido customers did not have access to before, they can now use the Rogers network. As a result of the acquisition, the network coverage will become larger after the two companies amalgamate the phone network. Beside the larger network, all the individual customers will keep their existing plans with the existing pricing. Customers cannot switch service plan between Rogers and Fido. In Roger's point of view, the acquisition of Fido has given them one of the most...